Foreign Investment

Babylyn C. Macahilas
Lea Mhel V. Bejosano
Abstract
The study explained and informs
different people involved in the field of
business in the context of Foreign
Investment. The results of the data
given to students through the
questionnaire which is clearly stated that
through this the researchers can
visualized and proven that foreign
investment can be the one of the most
effective factor for the future economic
progression of the Philippines. The
number of percentage on the survey
conducted, most of them like 70%
agreed that foreign investment can meet
the quality of life here in the Philippines
but 40% disagreed that foreign
investors strategies are more effective
than ours. After this process of
conducting and giving a survey to
different students of St. Scholasticas
College, the researchers have proven
that really foreign investments have a
huge impact and potential to satisfy the
needs of citizen and make the economy
of the Philippines to increase and meet
the standard living of life.
Keywords: Foreign Investment,
Economy, Business
I. Introduction
Most of the people nowadays
prefer to have a business because of
the many benefits that people could get
from it. Business implies the trading of
different products and commodities.
Most of the businesses belong to the
association which is globally
competitive. When you own a business,

therefore more challenges and

responsibilities you need to overcome in
order to have a successful and
profitable business in the future.
Building a business is not always
earning money but its also building a
relationship, earning trust from the
others, developing your own skills and
knowledge and keeping up your
passion, your desire in managing
particular business. Your personality
may also vary when youre starting and
controlling your own business because
sometimes this would be the way to
enlighten your skills and learned how to
be disciplined and responsible human
being.
One of the primary sources on
how to start a business is to have an
investment which from there you will get
the money or other non-cash asset to
produce products and services. Indeed,
we are globalized and it is consider that
foreigners take a somewhat active role
in management as a part of their
investment (Investopedia, n.d., para.1).
International investment can be a useful
and powerful engine for economic
growth which is the advantage of a good
opportunity. This foreign investment is
somehow having contributed a lot to our
country and the Philippines is
encouraging those foreign countries to
invest for some benefits and
opportunities that will make the future
development of our economy.
This paper aims to show that the
foreign investment is one of the most
effective factors of future economic
progression in the Philippines. They are
great contributor, as the researchers
said, which helps our own country to
have somehow increased the good
furtherance and to look forward that
Philippines will no longer experienced

poverty. As like in the history, Philippines

is said to be as the third world country
because of different reasons such as we
are overpopulated and on that
government are incapable to control all
of the people thats why people living in
marginalized society. This paper would
like to inform that it is Foreign
investment might be a way to live a
better life.
II. Body
Nowadays, we are apparently
say that foreign invests have their
different positive characteristics which
they can use to develop personal
relationship with their customers. One of
the those positive characteristics based
on the researchers observation are the
following: (1) they are very strong in
terms of influencing people specifically
on Filipino; (2) more efficient and
globally competitive and (3) they have
good quality of their business facilitation.
In this observation, you can see
assuredly that foreign investment have
the large impact in our lives which have
an effect on our economy.
Foreign investor can be the most
influential people to others, like on the
Filipino people. They are good and very
strong in encouraging people to be their
consumers which make foreigners
motivated to invest more in our country.
For instance, according to Lucas(n.d)
The Philippine is one of the most
current darlings of global investors
seeking better returns in emerging
market economies and offers even
bigger potential in the future, according
to a ranking of foreign investment firm
Religare Capital Markets Ltd (para.1).
The world seems to be too much
globalized and so man Filipino people
are directly affected by foreign countries.

Influencing people is a demand in

motivating customers on job that will
develop to have a good association with
other people (Influencing Skills How to
influence people, n.d., para.4).
Therefore, Filipino people are said to be
easy to influence by the others and fully
brainwashed that they get used to
experience which allows us to be
dependable to them. Indeed, foreign
investor have an ability have an
excellent power and capability on how to
influence many people even though
todays generation are being fully easy
to one another but they still have a great
spirit to make their consumer trust their
products and services.
Most of the foreign investors
have characteristics of being more
efficient and globally competitive in
terms of having a business. According to
Pinto (n.d) In todays global markets,
every business is pitted against
worldwide competitors with consistently
improving productivity, better
performance and shrinking prices. For
automation suppliers, this global
competitiveness is simply reflected back
by end users with increasing demands
in every direction (para.2). So in this
information, the author emphasized that
we should know how to adapt others
social change especially for the
consumers. It can be the one of the
factors that the company will be
motivated in making their employees or
workers to be more competitive also.
Because the better the people who work
within the company, the more it will be
well-known to others due to its service
quality that the company can provide.
Another information from Pinto, Many
automation products have become
commodities. Also, many global
producers accept lower profit margins
and that increases competitive

pressures. Producing high value

added product will be part of the
solution. We must continue to compete
with our best assets knowledge,
workers, technology, innovation, and
agile response (para.1). Foreign
investors have an ability to continue to
express their talents in managing their
business because the always keep off
with their objectives and goals to retain
the ideas, innovation of products and
maintaining the growth of businesses.
Business facilitation is effective
way to have a good successful
enterprise. Company dynamics are
often very complex and therefore we
provide impartial facilitation services by
understanding the bigger picture of the
individual company context (Business
Facilitating, n.d., para.1). It takes all the
responsibility and decision making to
run a business, to facilitate all the needs
and productivity of it. Facilitating a
business implies your own character
who manipulate for everything and it is
directly shown in foreign investors. As
we said earlier, they good in influencing
people and they can remain their
business to be a globally competitive, so
automatically they can be a good
facilitator, not just as good but they have
good quality which fully determine that
they actually exert more than more the
can.
Ofcourse, Strategic method is
very significant in starting a business.
This method will be one way for the
business to be successful, having
different strategies to be planned, you
can choose alternative plans to be
made. Those strategies might be a help
in decision-making of every company
and the researchers mentioned three
strategies that they found very familiar
and known by others.

Based on our observation, one of

the strategies that the foreign investors
are empowered that they are good in
motivating consumers. They can couch
to manage us, Filipinos to purchase and
prefer their products and services. And
maybe one of the reasons why we are
like that because Filipinos have colonial
mentality which is the thinking that
foreign talents and products are always
the good, the better, and the best, and
that the local ones are of poor or no
quality at all (Royeca, J.E., 2010, para.
2). Filipinos always prefer and
recommend them to others and many of
them think that we are worthless,
nothing, that we dont have originality
and sometimes were being dependable
to them in keeping their products and
services. But you cant blame
consumers for patronizing foreign
products because sometimes they are
just being wise in purchasing goods with
the high quality standard (Royeca, J.E.,
2010, para. 8). This colonial mentality
can affect foreign investment life; it is
their advantage on somehow to have
more customers, to make their business
succeed. They admire foreign countries
in so many ways and Filipinos get used
to keep on their minds that other
countries is much wealthy and could
give more than their expectations than
ours.
You cant build a business, if you
dont have any people working on it. And
for you to come up going and success
business needs an excellent people who
will manage it. One of strategy also is
they select and hire good employees,
they keep their requirements with a
good background especially on the
educational which is mean a lot to
examine how does this person qualified
on that particular job and it is together
with the working experience to

determine if he/shes been well trained

on his/her past job. IT is very important
to critic and chooses wisely your people
because those people who will work
towards to your company and even a
leader whos in the highest position must
take their responsibilities also.
According to Heathfield S.M. (2000)
Hiring the right employee enhances
your work culture and pays you back a
thousand times over in high employee
morale, positive forward thinking,
planning and accomplishing challenging
goals (para.2). The researchers guess
that hiring the excellent or must say the
right employee needs to have tips or
checklist to help you to evaluate all
those applicants for different position.
You need to spend time on selecting
your best employees, you need you a lot
time in order to see and organize critical
factors to consider before hiring an
employee. Choosing the right people
isnt that easy but this would be worth it
and this strategy of foreign investor is
what a challenging process.
The next strategy that people
knows, they provide an accurate and
fineness services. As they always pay
attention on the needs and wants of
their customers, consumers greatly
satisfied. According to Writerly Yours
(n.d) Organization needs to make
customer service a priority through good
and bad economic times (para.3). So
on that passage, we see that no matter
what happen, the customer is always
right and foreign investors are good in
meeting customers needs which can
improved more their competitiveness.
Dimension of Service Quality (n.d)
exemplify that the prospect of a
customer on a certain service is
characterized by factors
recommendations, individual necessity
and previous events (para. 1). At the

same time, it has an interrelated to the

workers qualification which will provide
an accurate and fineness service and
the services customers satisfaction.
Foreign investment of services has a
high standard and will keep you more
comfortable and affordable plus you will
feel contentment on it. People might not
regret in choosing to be their producer
and provider of what they need. Its is
not just the good experience itself, but
also beyond that experience which trust
was built and performed well their
expectations. The good services you will
offer, the good revenue will earn.
Most of the foreign investors are
very concerned in the production of the
products that they are going to sell in
the public because they want to have a
distinction to the product of the
competitors. They are very meticulous
in choosing the materials that they will
use to come for a high quality product.
Innovation of products can is also one of
the factors that they can apply to attract
the costumers because they want to buy
an improve product which they can use
to make their work easier and also they
also check quality of the product if it will
last for a long time. Unique and highend product can make the product to
become more attractive especially if
they put it in the market. The brand of
the product is also a large impact to
influence the people to buy the product
because they believe that once the
product has its own brand it is unique
and high-end product. Before they sell
the product in the public they need to
make sure that the price is affordable by
the consumer because the price is part
of the decision-making of the consumer
in purchasing the product. Consumers
are usually looking for a product that
they can afford and have a high quality.
Having an affordable product is also one

of the effective strategies that they are

using because they can easily earn a
profit and it is easy for them to sell a
product through the help of this. People
might always think that foreign products
are the best, with high quality yet
affordable by the public. The
researchers observed that people are
more aware on the opportunities or
production advantages in the fields of
strategic market in different foreign
countries. Foreign investors import here
the products and other services that
they can provide to the Filipino people.
In having a business most of the
business owners have their own ways to
recognize their product to the consumer
with a high quality. They want that their
product will have an improvement so
that it will be well known by the
consumer for them to purchase it.
According to Shukla (2009) Innovation
may be defined as exploiting new ideas
leading to the creation of a new product,
process or service. It is not just the
invention of a new ideas that is
important , but it is actually bringing it to
market, putting into practice and
exploiting it in a manner that leads to
new products , services or services that
add value or improve quality (para.1).
Most of the company thinks on how to
generate a new set of products that they
can sell to the market having a different
product design. Usually they change
their materials that they are using in
order to improve and to have a new
product. The expectation of the
consumer is also one way of having the
innovation in selling to the market
because they want it to have a low cost
with a high quality. Consumers usually
wants an improve product and buy it
because it is very helpful to them to
make their life easier and faster to the
things that they need to accomplish.

Innovation is one way of differentiating

your products from the product of the
competitors. Usually the business
owners want to be the first in the market
that is why they are putting their best
foot forward to improve the quality of
their works. They need to have their own
ideas because most of the company
prefers to copy the work of the others to
prolong the life of their business and
also to have a new set of ideas that will
use. The company really needs to make
some innovation in their product
because it is hard to sell a product that
is not updated.
Having a product that is high-end
is one of the factors of having a good
standing for those who have a business
because most of the costumer wants a
product that has a characteristic of high
quality in terms of its nature. According
to Schoenberger (2009) You need to
build a strong, coherent, timeless, worldclass brand if you to compete. Branding
is extremely important in the marketing
world and is especially important when
trying to market expensive products
(para. 6). A product that is a high-end
can also recognize based on its brand
because a product that has a brand can
have a large impact to influence the
consumer to purchase the product in the
market. Brand constituent, brand
reputation and brand competence assist
for developing consumer trust in brand
(Muhammad A.K., Kashif, R., Imran A.,
and Sobia W., 2010, p. 45).This is a big
factor to make the business have a long
life and to success in the future. They
believe that once the product on its own
brand meets the level of satisfaction of
the costumer there is a large impact to
the costumer to comply their needs. The
costumer also has a loyalty especially in
choosing and buying a product that they
will be using. Once that they want it

there is a chance that they can endorse

the product to the other people and with
that little by little the brand will became
popular in the market. In order to
persuade more customers to purchase
the product it is important to for them to
gain much information for the product
and also to inform them for some
benefits that they can get from the
product. They can compare it to the
other brand so that they can decide for
the product that they will purchase.
High-end product can also have a
higher profit after selling those products
because if the price of it is low there is a
large opportunity that they can change
its price on the higher cost. According to
Schoenberger (2009) Marketing to the
high-end, luxury crowd is difficult and to
be quite honest, typically very
unconventional. Focus on thoughtful,
unique and sometimes more costly
forms of marketing and networking,
which will ultimately pay off in the long
run (para.2).
In starting business it is good if
the price of the product is important
especially to the consumer who has a
small amount of income. The price is
part of their decision-making before they
purchase their needs. They are usually
looking for a low cost product but have a
good quality. Low cost product can
attract the consumer to purchase the
product because most of the people
nowadays prefer to buy a low cost
product especially the budget conscious
\because they need to budget their
money to buy their basic needs.
Affordable price is also an asset for a
business because this is the foundation
of the business to have large costumers
that will help the business owners to
succeed in the future. According to
Porter (n.d.) This strategy involves the
firm winning market share by appealing

to cost-conscious or price-sensitive
customers. This is achieved by having
the lowest prices in the target market
segment, or at least the lowest price to
value ratio (price compared to what
customers receive). To succeed at
offering the lowest price while still
achieving profitability and a high return
on investment, the firm must be able to
operate at a lower cost than its rivals.
(para.1). There is also a chance that the
business can earn a large profit if the
product can easily sell to the public.
Moreover, the researchers
conduct a survey to different students in
St. Scholasticas College. There are
different questions and statements
asking them if they are strongly agree,
agree, disagree and strongly disagree.
The researchers prepared the survey to
know how foreign investment has huge
impact on our future economic
progression and many of them agreed.
The researchers also conduct a
questionnaire that asking if foreign
investment has vast potential to meet
the quality of life in the Philippines, most
of them agreed like 9 out of 13 students
and the rest disagreed on it. So in this
survey, it is very helpful to know the
opinion of those people that foreign
investment can be the one factor for our
economy. Another question asked, if
Foreign investors strategies are more
effective than ours. Based on our
survey, students answered it 50-50,
some of them disagree and agree.
Maybe, I guess, not all Filipinos have
their colonial mentality, theyre just
influenced by them but not leaving that
Filipino people are also great, that we
are better as well and can do everything
those foreign countries can do. It is a
good way for us as the researchers
because in this survey, researchers can
synthesis and formulates more ideas

that could give us more information to

say about our research paper.
III. Conclusion
As the summary, this paper is
giving you information on what foreign
investment is. We stated different
characteristics or attributes about
foreign investors; the researchers also
mentioned the strategic method they
used to have a good marketing plan and
lastly their production advantages which
they produced and rendered. So the
researchers conclude that this paper
showed that foreign investment can be
the most effective factor and contributor
for the future economic progression of
our country, Philippines.
We, as the researchers, made
this research for those people who have
an interest in knowing the different
circumstances in building a business
and used it for the improvement of our
economy and to use it to be success.
The researchers conducted this
research for you to analyzed that foreign

investment have a huge positive impact

on the economy of the Philippines which
people can confidently trust foreign
investors on their services and products
they produced and rendered. Foreign
countries are much more relevant and
effective to stay globally competitive.
For some recommendations,
foreign investments must continue their
legacy and victory for the
accomplishment and meeting their
objectives in business. They should
have always improve the different
characteristics they have, the strategic
method to use and the production
advantages which involves the
innovation of the product that is usually
need for every businesses because this
is a one way for you to satisfy the needs
of every customers so that consumers
will recommend it to others and will
continue to increase their gross profit.

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References

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